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Yes. it's official, Disney wil be on YouTube... but only clip content.

Having for so long avoided giving permission for third-party distributors to carry its content online, the Walt Disney Company has finally succumbed to the lure of extended saturation by penning a deal with hugely popular video-sharing service YouTube.

However, dedicated animation fans and those hoping to enjoy full-length Disney programming should withhold their celebrations for the time being as the agreement only covers short-form media supplied from Disney-owned broadcast outlets such as ABC and ESPN.

That being said, bringing its clips to YouTube is a long-awaited first online step that Disney believes will help it reap the associated benefits of reaching a much broader viewing audience.

In terms of potential revenue, which is also a defining factor in any such content deal, Disney has said it is using the platform provided by YouTube “to experiment with different monetization models and to extend the reach of our advertisers.”

While taking an agreed share of any ad-revenue amassed during the viewing of its clips, Disney will also have the option of selling its own advertising inventory alongside its posted content.

The sudden announcement of Disney’s deal with YouTube has also led to gathering speculation that a similar online agreement with Hulu could also be looming on the horizon.

Hulu, a commercially supported streaming service, is owned by News Corp. and NBC Universal and backed by the likes of FOX, Comedy Central, PBS, and Bravo.

From YouTube’s side of the fence, initial analyst reaction to the deal suggests it will help push the Google-owned site a little further up the ladder of maturity in terms of creating a more viable image as a provider of premium and professionally-created online content.

Current support for YouTube is delivered by notable broadcast providers such as CBS Corp., the Food Network and the Discovery Channel.

Sports footage from ESPN will officially hit YouTube’s pages this coming April, while clips taken from the likes of Disney-owned properties such as ABC Television and SoapNet are scheduled for a rollout in May.